improving lives - april dialog · them on the company’s blog site april dialog. during the period...
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Improving Lives Sustainability Report 2015-2016
01 President’s Letter to Stakeholders 02
01.1 2015- 2016 Highlights 04
02 About the Report 05
03 Material Aspects and Boundary 06
03.1 Stakeholder Engagement 06
04 About APRIL Group 07
05 Sustainable Forest Management 11
05.1 Fibre Supply Chain 12
05.2 Measuring Greenhouse Gas Flux In Different Forest Landscapes
13
05.3 Responsible Peatland Management 14
Case Study: Pulau Padang 15
Case Study: Restorasi Ekosistem Riau (RER) 16
05.4 Strategic Fire Management 17
Case Study: Fire Free Village Program (FFVP) 18
05.5 Management of Grievances and Disputes 19
06 People 20
06.1 APRIL Team 21
06.2 Health, Safety and Security 23
06.3 Community Development and Fostering Entrepreneurship 24
Integrated Farming System (IFS) 25
Supporting Small And Medium Enterprises 25
Profile: Sulaiman, Coco Peat Entrepreneur 26
Profile: Hari Fitri Ramdhani, Batik Maker 26
07 Pulp and Paper Mill Operations 27
07.1 Materials 28
07.2 Energy 31
07.3 Water 34
07.4 Emissions 35
07.5 Solid waste 38
08 GRI Content Index and Sustainable Development Goals Table
39
10 Glossary 43
11 Sustainability Report Assurance Statement 46
Contents
We must constantly ask ourselves, are we really making a difference where it counts?
Praveen Singhavi
As President of APRIL, one of the world’s largest pulp and paper companies, ensuring we operate responsibly and deliver on our sustainability commitments sits squarely on my desk.
Executing these responsibilities requires and gets the full endorsement of our shareholders, and is brought to life by a dedicated team of employees and partners, from the corporate office to the forest and local communities where we operate.
In this report, we set out our core purpose: to improve people’s lives through sustainable management of natural resources. That includes caring for the people who depend on us and for the natural resources on which we depend to be a viable business. For APRIL, this means being commercially successful and being sustainable go hand-in-hand. In fact, we can’t achieve one without the other.
As we grow our business, we must do so within the capacity of the landscape we manage. We must do so by ensuring the environment is protected at the same time as we positively contribute to the economic and social needs of communities and the country. It is not an easy balance to achieve.
Ensuring actions on the ground match our words takes enormous effort, time and resources. The scale of our operations and the complexity of the landscape where we produce and protect mean there are always challenges involved at the same time as progress is made.
Our yardstick for success and our drivers for acting go beyond just satisfying our many stakeholders. We must constantly ask ourselves, are we really making a difference where it counts? Are we truly delivering
on our protection and production approach to landscape management? And are we a force for the improvement of people’s lives and livelihoods at a local community level?
Delivering the right answers to these questions guides our approach. Finding and executing on those answers requires engagement with a broad range of stakeholders. We welcome feedback, suggestions and constructive criticism, but we also believe direct engagement through collaboration is the most productive way to learn and evolve.
Boots on the ground, site visits and face-to-face interaction with local communities provide a far more realistic view of the landscape we operate in than a distant or desktop discussion. Through this report, I would encourage our stakeholders to come and see first-hand the landscape we operate in and the progress we are making on the ground, in addition to reading the pages ahead.
During the period under review, we delivered important progress, including a commitment at COP 21 in Paris of US$100 million to be spent on landscape management, conservation and restoration over multiple years.
In June 2015 we launched our Sustainable Forest Management Policy (SFMP) 2.0. The Policy governs how we manage our natural resources for optimal social, environmental and economic outcomes and is an updated version of our original 2014 SFMP. It includes the elimination of deforestation from our supply chain and only developing areas that are not forested, as identified through independent peer-reviewed HCV and High Carbon Stock (HCS) assessments.
President’s letter to stakeholders
2APRIL - Sustainability Report 2015-2016
Our sustainability activities under our SFMP 2.0 are overseen by the Stakeholder Advisory Committee (SAC). Its members include independent forestry and social experts. The Committee selects an independent verification auditor and monitors APRIL Group’s progress towards meeting its policy goals. As part of our commitment to maintaining transparency, summary reports of SAC meetings as well as any updates on recommendations made by SAC and status progress reports by APRIL Group are made public, by posting them on the company’s blog site APRIL Dialog. During the period under review in this report, the SAC made 98 recommendations to APRIL, of which 59 have been implemented, 30 are in progress, three are in development and six of which are subject to further guidance to be provided by the SAC to the company. Key themes across these recommendations include landscape level management, supply chain compliance and monitoring, social programs and improvement of internal data analysis and management. As part of our SFMP 2.0, we are working towards an effective landscape approach and tightened commitments for forest protection, conservation and peatland management. We optimise the operations of production forests, renew and restore previously degraded forests and protect High Conservation (HCV) areas within our concessions.
Responsible peatland management is another of our key commitments guided by the Independent Peat Expert Working Group (IPEWG), established in January 2016, and comprising some of the world’s leading scientists in this field.
Our flagship restoration initiative, Restorasi Ekosistem Riau (RER), is a public-private partnership initiated by APRIL and implemented with key NGO and expert partners, namely local social NGO Bidara, Fauna and Flora International (FFI) and The Nature Conservancy (TNC). Together we are working to restore more than 150,000 hectares of ecologically important peat forest in Indonesia’s Kampar Peninsula.
Fire in Indonesia continues to be a major national and international concern. One of our most ambitious and successful community initiatives to target the root causes of fires is the Fire Free Village Programme (FFVP). Initiated in July 2015, the FFVP is founded on close engagement with local villagers and stakeholders. The success of this programme in directly and dramatically reducing the incidence of fires in and near our concessions has been recognised by the Indonesian government.
The FFVP was then expanded into the Fire-Free Alliance (FFA) in 2016 of which APRIL is a founding member. The FFA is a multi-stakeholder group composed of key industry players such as Wilmar, Musim Mas and Sime Darby, as well as other organizations with an interest in preventing forest and land fires to create a fire and haze free environment in Indonesia.
Our community engagement and development efforts were also enhanced during the period under review with ongoing programmes for livelihood creation, local economic development and enhanced infrastructure, education and healthcare for local communities.
We remain committed to the International Labour Organisations (ILO) labour principles, Universal Declaration of Human Rights, United Nations Global Compact (UNGC) principles and to the achievement of the Sustainable Development Goals (SDGs).
Our Founder Sukanto Tanoto believes that good business is that which is good for the Community, Country, Climate, Customer and Company. These ‘five C’s’ continue to underpin our value creation strategy.
I am pleased to report that during the period under review we have made good progress on a number of important fronts. I also recognise that much work remains to be done.
APRIL will continue to challenge itself, and be challenged by others, by asking whether the company, its people and its practices are delivering on our ‘five C’s’ and making a positive difference.
Our SFMP 2.0 governs how we manage our natural resources for optimal social, environmental and economic outcomes and is an updated version of our original 2014 SFMP.
Praveen SinghaviAPRIL President
3APRIL - Sustainability Report 2015-2016
Highlights
December 2016 APRIL’s conservation and restoration area is 419,159 hectares, meeting 83% of APRIL’s aim to conserve one hectare for every hectare planted.
June 2015 Sustainable Forest Management Policy (SFMP 2.0) is launched in June 2015.
December 2015 The expansion of Restorasi Ekosistem Riau (RER) program was announced at COP 21 in Paris; from 40,000 to 150,000 hectares with USD 100 million committed.
January 2016 APRIL initiated the Fire Free Alliance (FFA), scaling up the Fire Free Village Programme to other companies and landscapes.
The Independent Peat Expert Working Group (IPEWG) was established to help APRIL fulfil the commitments in the Sustainable Forest Management Policy (SFMP 2.0) in relation to operations on peatland.
May 2016 APRIL established a network of monitoring towers to measure GHG flux across production and conservation landscapes.
July 2015The Fire Free Village Programme was launched, a multi-stakeholder, community-based fire prevention initiative to achieve a fire free landscape.
Jan 2015 Dec 2016
APRIL was the first forestry company in Indonesia to receive the Programme for the Endorsement of Forest Certification (PEFC) Sustainable Forest Management certification.
4APRIL - Sustainability Report 2015-2016
5APRIL - Sustainability Report 2015-2016
About the Report
The report structure refers to the Global Reporting Initiative standard for sustainability reporting, known as the GRI Standard, of the Core framework. The full list of the GRI referenced disclosures used in the report is available at the GRI Content Index section.
In addition, relevant forestry and social indicators from APRIL’s Sustainable Forest Management Policy (SFMP 2.0) are also included. Reporting for the January 2015 – December 2016 period, this report focuses on the progress and challenges in implementing the economic, environmental and social responsibilities of APRIL Group and fibre supply partners’ operations in Indonesia where manufacturing, industrial forest plantations, conservation and restoration areas are located.
Supply partners are fibre suppliers who are long-term partners of APRIL and contribute to the One for One commitment, while open-market suppliers are fibre suppliers that do not contribute to the One for One commitment and are fibre suppliers contracted for open-market log purchases.
APRIL’s last sustainability report covers January 2013 – December 2014.
The assurance statement covering this report is presented on page: 46
Please contact [email protected] for questions regarding this report.
This report covers APRIL Group
and, where data is available, fibre
supply partners’ operations in
Indonesia, where manufacturing,
industrial forest plantations,
conservation and restoration areas
are located.
APRIL - Sustainability Report 2015-20165 5
Stakeholder Engagement Material Aspects and Boundary
The four GRI reporting principles for defining the materiality of the content of a report - Stakeholder Inclusiveness, Sustainability Context, Materiality and Completeness - determine the content of this Sustainability Report.
Following our interactions with various stakeholders, most notably in the Stakeholder Advisory Committee (SAC) and the Independent Peat Expert Working Group (IPEWG), below are the key topics and concerns raised as well as the outline of APRIL’s response. We aim to address these issues throughout the report. One of the most important topics for APRIL’s stakeholders is fibre suppliers’ traceability, and compliance with the Sustainable Forest Management Policy 2.0 (SFMP 2.0). We will continue to ensure that suppliers are engaged and implement the SFMP 2.0. Therefore, our approach with suppliers is included in this report. Key topics and concerns raised in stakeholder engagements and APRIL’s response are as follows:
Regardless of the Sustainability Report preparation process, APRIL regularly interacts with a wide range of national and international stakeholders that have significant impact or are impacted by the company's activities.
In January 2014, the Stakeholder Advisory Committee (SAC) of independent forestry and social experts began its work in overseeing the implementation of APRIL Group’s Sustainable Forest Management Policy. The Committee meets three to four times a year, selects an independent verification auditor, and monitors APRIL Group’s progress towards meeting its Policy goals.
As mandated by APRIL's SFMP 2.0, in 2015 the Independent Peat Expert Working Group (IPEWG) commenced work in advising the company on responsible peatland management in production and conservation areas.
The Minutes of Meeting of the Stakeholder Advisory Committee (SAC), the Independent Peat Expert Working Group (IPEWG) and stakeholder forums held in Jakarta and Riau are available in Indonesian and English at: www.aprildialog.com
Internal and external stakeholders:
We are held accountable by our key stakeholders who challenge us every day to do better.
Material issues to stakeholders APRIL’s Response
Forest management
• Forest plantation on peatland • Supply chain traceability and
compliance with the Sustainable Forest Management Policy (SFMP)
• Legal compliance• One for One goal of conserving one hectare for every hectare planted. • High Conservation Value set-aside• Restorasi Ekosistem Riau (RER) progam • Implementation of SFMP with independent assessment. • Policy for Association for all wood fibre suppliers• Standard Operating Procedures for supplier selection and compliance
monitoring
• Land and forest fire • Fire prevention: Fire Free Village Program (FFVP)• Founding member of Fire Free Alliance (FFA)• Fire detection and suppression capability
Social issues
• Economic• Land
• Community development program• Entrepreneurship program• Established grievance mechanism • Integrated Farming System (IFS) • Support Indonesian government’s OneMap policy • Legal compliance• Application of Free, Prior, Informed Consent (FPIC)
Internal External
National International
Mills, forestry and social capital directors
• Regulators• Academia• Social and
Environmental NGOs• Community groups• Labor groups• Pulp and paper
industry associations• Indonesia Chamber of
Commerce• Customers• Financial institution• Media
• UN Global Compact• The Tropical Forest
Alliance 2020• International social and
environmental NGOs• Intergovernmental
agencies • Academia• World Business
Council for Sustainable Development (WBCSD)
• Customers• Financial institutions• Media
6APRIL - Sustainability Report 2015-2016
7APRIL - Sustainability Report 2015-2016
About APRIL Group
Our founder, Sukanto Tanoto, says ‘good business is about what’s good for community, country, climate and company – only then will it be sustainable.’ This is our core belief.
APRIL - Sustainability Report 2015-2016 7
8APRIL - Sustainability Report 2015-2016
APRIL Group is one of the largest, integrated, technologically advanced and efficient makers of pulp and paper in the world.
With offices in Singapore and Jakarta, Indonesia, APRIL Group collectively refers to a privately held group of companies.
Our acacia and eucalyptus forest plantation as well as the pulp and paper mills are located in Pangkalan Kerinci, Riau province, Indonesia. The mills are capable of producing up to 2.8 million tonnes of pulp and 850,000 tonnes of high quality paper a year, sold to markets around the world.
Our flagship product PaperOneTM office paper is made from 100% renewable and globally certified fibre plantations, exported from Indonesia and sold worldwide.
Governed by the Sustainable Forest Management Policy 2.0 (SFMP 2.0), implemented in June 3, 2015, APRIL Group believes that responsible production, including a deforestation-free supply chain, is the way to balance long-term environmental, social and economic imperatives.
For close to two decades now, we have been working to fulfil our purpose of improving people’s lives through the sustainable management of natural resources. It means that our business thrives because it cares for the people who depend on it and the environment on which it depends. Our founder, Sukanto Tanoto, says ‘good business is about what’s good for community, country, climate, customer and company – only then will it be sustainable.’ This is our core belief.
Member Companies Under APRIL Group 1. PT. Indokarya Bangun Bersama2. PT. Sinar Mutiara Nusantara3. PT. The Best One Unitimber4. PT. Gemilang Cipta Nusantara5. PT. APRIL Management Indonesia6. PT. Anugerah Kertas Utama (AKU)7. PT. Riau Andalan Kertas (RAK)8. PT. Riau Prima Energi (RPE)9. PT. Riau Andalan Pulp & Paper (RAPP) 10. PT. Intiguna Primatama11. PT. Asia Prima Kimiaraya
About APRIL Group
Pangkalan Kerinci, Riau province
Our goal is to be a responsible neighbor to the local, national and global community.
We are working towards meeting our One for One goal of conserving one hectare of natural forest for every hectare planted. As of December 2016, we’ve met 83% of this goal.
APRIL is an Advanced Level member of the United Nations Global Compact (UNGC), upholds the International Labor Organisation (ILO) labor principles and supports the Sustainable Development Goals (SDGs) of ‘protect, restore and promote the sustainable use of terrestrial ecosystems, sustainably manage forests, and reverse land degradation and biodiversity loss’.
APRIL complies with prevailing laws and regulations and applies a strict anti-corruption policy and mandates our suppliers to commit to the same principles. We acknowledge and respect the Universal Declaration of Human Rights, national laws and ratified international treaties on human rights and indigenous peoples.
Any allegation raised in good faith is examined in detail and appropriate measures are taken, where necessary, in the event of non-compliance with the anti-corruption policy.
RIAU
Pangkalan Kerinci
9APRIL - Sustainability Report 2015-2016
National Certifications
1. Sustainable Plantation Forest Management (SPFM): Since 2006, Riau Andalan Pulp & Paper (RAPP), the operations unit of APRIL Group, has been certified for SPFM, under the Indonesian Ecolabel Institute (LEI) standards.
2. Sustainable Production Forest Management (PHPL) certified by Ministry of Forestry: RAPP holds PHPL certification, a mandatory certification for all Indonesian forestry companies. This certification ensures RAPP’s compliance with production, ecological, and social requirements set by the Government of Indonesia.
3. Timber Legality Verification (SVLK): The SVLK system was jointly developed by the Indonesian Ministry of Forestry and the European Union (EU) to meet the anti illegal logging laws and requirements. Our products are accompanied by V-Legal document to certify the legality of the fiber from which the pulp and paper was produced. The V-Legal document has functioned as FLEGT license since 15th November 2016.
4. Occupational Health and Safety Management System: SMK3 based on Government Regulation No. 50/ 2012 for mill and forestry sector; a mandatory certification by the Government of Indonesia.
5. National Standard of Indonesia (SNI): Certification for paper products. SNI labeling ascertains that the prescribed quality product specification is met.
6. Indonesia Eco Label for paper product: Ensuring that product is produced in line with environmental best practice standards.
7. Blue ‘PROPER’ rating (Program for Pollution Control, Evaluation and Rating): for Paper Mill from the Ministry of Environment. A blue rating indicates that the mill’s environmental performance is in full compliance with Indonesian regulations that relate to water and land management, air and water emissions, hazardous waste and the implementation of Environmental Impact Assessment (AMDAL)
8. Blue ‘PROPER’ for HTI (industrial forest plantation) in 2016 from the Ministry of Environment and Forestry. 9. Certificate of Authorized Economic Operator (AEO): In 2016, the pulp and paper company under APRIL
group received AEO certification for International trade related facilities issued by the World Customs Organization (WCO).
International Certifications
1. OHSAS & ISO: APRIL Group’s operations in Riau Province, Indonesia are certified under OHSAS 18001 (Safety Management Systems), ISO 9001 (Quality Management Systems), and ISO 14001 (Environment Management Systems).
2. PEFC-CoC: Since 2010, APRIL Group’s production facilities have been certified under the Programme for the Endorsement of Forest Certification (PEFC) Chain of Custody (CoC) standards, ensuring that all raw materials coming into the mill are from non-controversial sources.
3. PEFC-Sustainable Forest Management (SFM): In 2015, more than 300,000 hectares of concession are certified under PEFC-SFM. This certification recognizes forestry operations that maintain forest's ecological, social and economic values.
4. ISEGA Germany, Certificate of Compliance: For paper that is safe for food packaging use.5. Singapore Green Label – for paper products: PaperOneTM product has maintained this certifications
since 2013, issued by the Singapore Environmental Council (SEC).
Governance Structure We are committed to conducting our business in an environmentally and socially responsible manner, and we comply with prevailing laws and regulations with independent verification of our practices.
Leadership structure as at December 2016
Chairman, APRIL GroupBey Soo Khiang
Vice Chairman, APRIL GroupAlagaratnam Joseph Devanesan
President, APRIL GroupPraveen Singhavi
APRIL Indonesia Operations Managing DirectorTony Wenas
The Stakeholder Advisory Committee (SAC) provides independent oversight of the implementation of the SFMP 2.0 and offers critical feedback as well as recommendations to APRIL, as part of the company’s continuous improvement initiatives.
APRIL President
Sustainability Director
APRIL Indonesia Operations
Managing Director
Sustainability team
RIAU
Sustainability team
JAKARTA
Corporate AffairsCorporate
CommunicationLegal
License
10APRIL - Sustainability Report 2015-2016
±476,000 Ha
±8,600 Ha ±37,000 Ha
5,966 people
11,214 people
Total industrial forest plantation
APRIL Highlights
Markets Served
Located on Peatland±262,000 Ha
87%
3%10%
91%
9%
Direct employment
Contractors
Asia Pasific
Europe, Middle East, Africa
PULP
Asia Pasific
North AmericaEurope, Middle East, Africa
PAPER
70 CountriesOur products are marketed and sold in more than 70 countries around the world.
Community Tree Farming
Livelihood Plantation
Ratio of Conservation to
Plantation Area
Total Area managed by APRIL and supply partners
83%
±419,000 HaTotal conservation and ecosystem restoration areas
±322,000 Ha Peatland under conservation and restoration
about 90% classified as forested
APRIL - Sustainability Report 2015-2016 10
11APRIL - Sustainability Report 2015-2016
Launched in June 2015, the SFMP 2.0 is an updated version of the 2014 Sustainable Forest Management Policy and includes significant new commitments.
Sustainable Forest Management
APRIL - Sustainability Report 2015-2016 11
12APRIL - Sustainability Report 2015-2016
In 2016, KPMG Performance Registrar Inc. (KPMG PRI) completed a limited assurance engagement over APRIL Group’s implementation of its Sustainable Forest Management Policy (SFMP 2.0) commitments for APRIL’s independent Stakeholder Advisory Committee.
The report, issued in December 2016 can be viewed in full here: http://sustainability.aprilasia.com/download/preview/144
APRIL’s action plans and status on all findings found in the assessment is available here:http://sustainability.aprilasia.com/download/preview/169
Fibre for the pulp and paper mill is derived from approximately 476,000 hectares of plantations maintained by PT. Riau Andalan Pulp and Paper (PT. RAPP) and from 40 supply partners located in Sumatra and nine market-based suppliers located in Sumatra, Kalimantan and Malaysia.
Our operations and our supply partner plantations currently supply approximately 79% of the mill’s fibre needs, the remainder being met by purchase supply sources from Sumatra, Kalimantan and Malaysia.
In order to embed social, ethical and environmental best practice within our supply chain, all suppliers are subject to the Sustainable Forest Management Policy 2.0 (SFMP 2.0). APRIL has built and is implementing a broad-based monitoring system to assess compliance with the Policy.
Fibre Supply Chain
2.8 million 850,000tonnes of pulp/year tonnes of paper/year
APRIL and its supply partners operate in areas that have been designated by the Government of Indonesia for fibre plantation development and abide with the laws and regulations that apply to our industry.
Launched in June 2015, the SFMP 2.0 is an updated version of the 2014 Sustainable Forest Management Policy and includes significant new commitments. The SAC continues to provide independent oversight on the Policy implementation and transparency in reporting progress, challenges and learning as well as recommendations to APRIL on areas of improvements.
In the updated Policy, we committed to eliminate deforestation from our supply chain, and only develop areas that are not forested, as identified through independent peer-reviewed High Conservation Value (HCV) and High Carbon Stock (HCS) assessments.
We support the conservation and ecosystem restoration of natural forests, and forested peatlands, and other
ecologically, hydrologically and culturally important areas and we do not operate in internationally or nationally designated protected areas.
Critically, we will not establish additional pulp manufacturing capacity until we are certain that it can be 100% plantation supply reliant.
SFMP 2.0 also focuses on achieving reduction in our carbon footprint, the proactive support of local communities, respecting the rights of indigenous peoples, responsible working practices, and good governance.
Forest protection and conservation, and peatland management commitments, were tightened and expanded in the new policy; both subject to a landscape approach, and in the case of peatland, with oversight from a newly established Independent Peat Expert Working Group (IPEWG), composed of some of the world’s foremost scientists in this field.
The complete list of fibre suppliers is available at the APRIL Sustainability portal: http://sustainability.aprilasia.com/
The mill is capable of producing
We maintain an integrated pulp and paper mill in Pangkalan Kerinci, in Riau Province, Sumatra, Indonesia.
Indicators 2015 2016
Hectares of conservation and restoration area (Forest, agriculture, infrastructure, open area, scrub) and change from prior period
421,843 Ha 419,159 Ha
Change: 2,684 Ha
Ratio of conservation area to total plantation area
As part of our continuous work to improve data collection and records in relation to land disputes and encroachment, a concerted effort was made in 2017 to ensure all supply partners appropriately measure and record existing land disputes in APRIL's land management system. Between January 1 and June 30, 2017, 13,182 hectares of land disputes on conservation land were entered into the database, decreasing the ratio of conservation area to total plantation area to 80% from 83% (including ecosystem restoration area and excluding livelihood area). At this point, it is not possible to determine with precision the exact date of the origination of the land disputes over the past several years, as such, we will include these land disputes in our reported indicators on a go-forward basis.
83% 83%
Hectares of new development*
*New development is the clearing of land for planting or building of infrastructure.
Zero Zero
Percentage of fibre covered by legality certification 100% 100%Data for APRIL and its supply partners. Market-based suppliers excluded
13APRIL - Sustainability Report 2015-2016
One of the most exciting initiatives we have introduced recently is a complex network of monitoring equipment that measures with a considerable degree of accuracy the greenhouse gas emissions versus sequestration rates of mixed natural and production forest and mixed landscapes vegetation that also includes smallholder and community activities.
This is based on a widely respected technique called Eddy Covariance that provides GHG measurements at ecosystem scale.
In due course we will have a complete picture of not just CO2 exchange rates but also N2O (nitrous oxide), CH4 (methane), water vapour fluxes, and heterotrophic respiration, critical in understanding the rate of peat oxidation. The system is a complex of three 40 meter towers, ground-based soil chambers and water table monitors, all feeding into a real time monitoring software suite that is automatically sent to the ‘cloud’ so that the information is readily accessible from any internet enabled computer location.
Winrock International, a company that combines scientific and technical expertise with entrepreneurial innovation to deliver market-based solutions, was engaged to develop a customized GHG calculation toolkit and operationalize the improved data collection and monitoring system on different types of land use.
Measuring Greenhouse Gas Flux In Different Forest Landscapes
13APRIL - Sustainability Report 2015-2016
14APRIL - Sustainability Report 2015-2016
weir structures. These optimize ground water levels for the purposes of maintaining the health both of plantation and natural forests, preventing fire, prolonging the lifespan of soils and limiting GHG emissions. We maintain a network of over 400 peat subsidence monitoring points distributed throughout the plantation and conservation landscape.
Changes in Peatland Regulation
Significant changes in the regulatory framework for plantation development and management on peatland occured during the reporting period, resulting in the following:
Between March and September 2016, PT. RAPP planted approximately 600 hectares of recovered peatland in Dayun Village, Pelalawan which were previously encroached. This was based on the company’s approved business plan and annual work plan. Subsequently, in December 2016, the Ministry of Environment and Forestry (MoEF) instructed the Company to suspend all activities, remove planted Acacia trees and close completed canals at seven points, invoking Circular Letter No. S. 494/MenLHK-PHPL/2015 and PP No. 57/2016 (Peat Ecosystem Protection and Management regulation issued in December, 2016).
As of the date of this report, the Company had completed actions requested by the Ministry of Environment and Forestry specific to the recovered peatland in Dayun Village.
On October 18, 2017, APRIL informed stakeholders of the suspension of forestry operations of PT. RAPP as a result of the cancellation of PT. RAPP's current long-term work plan (Rencana Kerja Usaha, RKU) by the MoEF. The long-term work plan was canceled based on the rejection by the MoEF of the company's latest RKU revision, which it considers does not meet the current ministerial decree on peatland forests. The Ministry requires PT. RAPP to immediately designate a significant part of its current plantation into protection areas. PT. RAPP states this would result in the loss of more than 50% of APRIL's production areas and lead to significant socio-economic losses and environmental risks, and seeks to continue working with the MoEF to resolve the situation.
PT. RAPP's operations, excluding planting on areas identified on the MoEF's map, were subsequently permitted to resume on October 24, pending resubmission of a revised RKU on October 30.
Moving Forward
Progress is being made in finding best ways to manage the existing plantation landscape for fibre production, while also minimizing GHG emissions. The science in this area continues to rapidly evolve. Expertise is drawn from many sources - from scientists, NGOs, governments, local communities, and plantation forestry companies such as APRIL Group – and these help to enrich not only the scientific debate but also policy and practices. We are committed to having a voice in that discussion and to contributing to the growing body of knowledge and best practice for responsible peatland management.
Possible ways forward must be rationally and holistically considered against what is do-able, while balancing environmental, commercial and developmental goals. Effective and science-based peatland management also requires significant, long-term funding. Many parties, including peatland experts and the APRIL Group, favor a balanced, landscape approach for long-term peatland protection and conservation.
APRIL cannot achieve this on its own. The Independent Peat Expert Working Group (IPEWG), a group of national and international scientists with extensive expertise in peatland dynamics, was formed in 2015. The role of this group is to provide solid, science-based understanding of the consequences of different approaches and action, in order to underpin best practice management of existing plantations on peat, as well as supporting APRIL and other stakeholders in the development of a vision for peat, which delivers the right balance of production, protection and restoration.
Responsible Peatland Management
Peatland in Riau province comprises 3.8 million hectares, or 60 percent of the province’s total land area, according to Indonesian government data.
A top priority for us is to minimize greenhouse gas emissions and its impacts on peatland by halting further development on forested peatlands and implementing best practices on established plantations.
In this, a landscape management approach featuring plantation buffer zones that surround conservation forest has been implemented as a way to protect peat swamp forest domes and riparian corridors from encroachment, unmanaged drainage and fire.
The driver for this threat has always been pressure to secure land for traditional agriculture, but this pressure will ease as the local economy matures and diversifies.
Protecting peatland while securing viable production forest requires the deployment of a wide range of analytic tools across the entire landscape. High Conservation Value (HCV) assessments have informed the identification of the most appropriate opportunities to affect real conservation on the ground. We then carried out biophysical surveys, fire management and hydrology assessments, all of which have enabled us to protect central peat domes and other environmentally sensitive sites.
The most degraded portions of the landscape have been developed as productive tree plantations, and these in turn create a physical buffer that helps to protect the conserved natural forest.
At the same time, the revenue generated supports the management of substantial areas of set-aside sensitive peatland under Restorasi Ekosistem Riau (RER) that was initiated in 2013 and to date spans over approximately 150,000 hectares on the Kampar Peninsula and Padang Island, Riau province.
We carried out biophysical
surveys, fire management
and hydrology assessments
to protect central peat domes
and other environmentally
sensitive sites.
Peatland management methodologies
The intensively organic soils of peat landscapes, if unmanaged, are sensitive to moisture loss and oxidation which results in ground level subsidence and greenhouse gas (GHG) emissions. In Riau, rainfall varies seasonally anywhere between 50 mm per month during drier periods to more than 500 mm during wet months. Water management entails closely monitoring this variation and intervening to control the outflow of water. Our water management is planned at a landscape scale with a focus on how to moderate flows throughout seasonal variance, rather than focusing solely on drainage.
The water management framework is largely based on advice and outcomes from a Science Based Management Support Programme (SBMSP: 2008 – 2010) delivered by a consortium of international specialists headed by Deltares. We continue to expand and fine-tune the implementation of the project recommendations, including an extensive monitoring, adjustment and reporting system. The plantation management target is to maintain wet season water levels at 0.4 m below the soil surface. In order to achieve this, we have established more than 1,400 water zones controlled and managed by a total of 1,560 dams and 2,215 overflow
15APRIL - Sustainability Report 2015-2016APRIL - Sustainability Report 2015-2016 15
Pulau Padang
APRIL Action:
Case Study
• APRIL apologises unreservedly to the Stakeholder Advisory Committee (SAC) and other stakeholders for incorrectly referencing specific clauses of the Forest and Land Fire Control regulation (PerMenLHK No.32 year 2016) in relation to a canal constructed in Pulau Padang forestry concession.
• We will rely only on certified legal translations to ensure the accuracy of material referenced in presentations to the SAC and IPEWG, particularly of documents that are legal or official
• We recognize that positive engagement with all our stakeholders, including our critical friends, is essential, not just for trust in our business but also for the implementation of the company’s ambitious sustainability plans. Our commitment to our sustainability policy remains steadfast and we will work hard to deliver on the goals which are core to our operations. We hope that over time trust will be rebuilt with stakeholders where it has been lost as we implement our SFMP going forward.
In December 2016, the construction of a 606-meter canal in a 40 hectare block located in Pulau Padang, Riau, eventually led to a major misunderstanding between APRIL and two of our valued stakeholders, Greenpeace and the Worldwide Fund for Nature (WWF) Indonesia. At the heart of this misunderstanding was an erroneous translation of a government guideline on peatland management, i.e., specific clauses in the Forest and Land Fire Control regulation (PerMenLHK No.32 year 2016). Consequently, both NGOs suspended their active participation in APRIL's SAC.
We reaffirm that it is never our intention to mislead the SAC, IPEWG or our stakeholders. We take seriously Greenpeace and WWF’s decision to suspend their membership from the SAC, which provides guidance and scrutiny on our sustainability commitments and implementation. We have invested significant time and resources in establishing platforms such as the SAC and IPEWG, and in building trust as well as good relations with external members of these groups.
It is vital that we get our actions on sustainability and the communication of them right, given the focus and progress on implementing our Sustainable Forest Management Policy (SFMP) commitments over the past 18 months.
Our SFMP commitments include conserving forest areas, restoring previously degraded land, preventing and suppressing fires in and around APRIL’s concessions, engagement with NGOs on sustainability and the commitment of US$100 million over 10 years to conservation and restoration efforts.
We cooperated fully with a joint task-force including Indonesia’s Peatland Restoration Agency (BRG) and the MoEF to review and address the social issues and any other matters on our forestry concessions at Pulau Padang. Despite our mistakes in referencing the PerMenLHK No.32, we will uphold and regard it as a legal regulation that instructs companies to put in place facilities and infrastructure for the prevention and management of forest and land fire. This mistake will not affect our core strategy and focus on protecting our forestry concessions from fire risks.
Our full statement regarding the Pulau Padang canal incident is available at: http://www.aprildialog.com/en/2016/12/21/april-statement-ngos-suspension-stakeholder-advisory-committee-pulau-padang-canal/
16APRIL - Sustainability Report 2015-2016
Restorasi Ekosistem Riau (RER) Case Study
Initiated by APRIL in 2013 to protect, assess, restore and manage the ecologically important peat forest in Kampar Peninsula and Padang Island, Riau province, RER covers approximately 150,000 hectares, or an area twice the size of Singapore. RER is supported with US$100 million committed by APRIL for long-term restoration and conservation. It is the largest peatland restoration programme to be funded and managed by a private sector in Southeast Asia.
Within this rich landscape, RER partner, Fauna & Flora International (FFI), has thus far identified 220 species of bird, 152 species of plant, 72 mammals, and 75 amphibians and reptiles. FFI conducts baseline assessments related to biodiversity, climate and communities.
Other partners of RER are: The Nature Conservancy (TNC), engaged to establish an integrated landscape management model at the Kampar Peninsula to balance conservation, social, and economic imperatives; and Indonesia's social non-governmental organization, BIDARA, which works on developing the skillsets of communities in nearby RER areas to support ecosystem restoration.
One of the most important protection measures we have put in place is called the “ring concept”. This is where we have deliberately sited commercial plantations around a core area of natural forest in order to protect it.
APRIL’s experience shows that where human activity (usually precipitated by the presence of roads and tracks) is minimized, the protected forest is better able to recover and thrive.
Still, this system will require further research over time. We remain keen to engage with other partners for the purpose of achieving effective protection and conservation of the RER areas. See RER Biodiversity Report here:http://www.rekoforest.org/multimedia/rer-biodiversity-report
APRIL - Sustainability Report 2015-2016
304-3304-4
GRI
16
17APRIL - Sustainability Report 2015-2016
SFMP
VIII A
Strategic Fire Management
1 2 3
Fires pose a significant threat to our plantations, our business' key asset. Fires damage forests, reducing the value and productivity of these assets, as well as creating smoke and haze and causing damage to human health.
The 2015 fire and haze crisis is a reminder of just how socially and economically damaging the consequences of fire can be.
Accordingly, we will continue to enforce our no-burn policy. To heighten awareness and increase vigilance during the dry season, APRIL announces a ‘Fire Danger Period’ to alert APRIL staff and local communities. It also signals to the surrounding communities that fire restrictions will come into force in APRIL’s managed forest areas. Notice boards, village meetings and other communication tools are used to inform the Fire Danger Period.
Indicator 2015 2016
Number of instances of fires on concessions by cause.
RAPP : 285 incidents RAPP : 3 incidents
Supply partners : 105 incidents Supply partners : 237 incidents
All incidents initiated by third partyData for APRIL and its supply partners. Market-based suppliers excluded.
Detection The speed with which we can respond to fires if they do break out depends on their accurate detection. It is essential that we understand our risk and prepare the appropriate resources. Every estate has it own trained Fire Team with fire suppression equipment. During the dry season, we operate regular land, air and water patrols to quickly detect and respond to fire risks and ground-truth every single hot spot. We also use advanced satellite hotspot monitoring from two NASA based systems, fire monitoring towers and CCTV.
Suppression
We have developed a world-class suppression capability that includes helicopters equipped with expert fire crews, water bombing, fire trucks, airboats as well as teams on the ground that are rapidly deployed to contain and extinguish fires when detected, using 215 water pumps. We have 380 full time fire fighters in our rapid response team as well as 90 additional trained staff to assist. We have also trained 54 community based fire alert and control groups (Masyarakat Peduli Api) comprising 724 people. Our suppression efforts extend three kilometers from our concession boundaries, to prevent it from entering concession areas, and we have invested US$6 million in fire suppression equipment with an annual operating cost of approximately US$2 million.
PreventionWe seek to treat the cause of fire before we have to deal with the effect. Most fires are caused by neighboring communities burning to clear land for agriculture, so we seek to invest in community education and capacity-building on the basis that these investments are far more effective than money spent on fire suppression. We do this in a number of ways, most recently through the creation of the incentive and resource based Fire Free Village Programme (FFVP), a proven community led fire prevention strategy which reduced the area of burned land within the programme by 90% in its first year. In 2016, the method of FFVP was adopted by members of the Fire Free Alliance (FFA), a pan industry alliance with agricultural companies and NGOs designed to significantly expand the initiative to other geographies.
Our strategic approach to fire management and response concentrates on three areas:
18APRIL - Sustainability Report 2015-2016
Fire Free Village Programme (FFVP) Case Study
18APRIL - Sustainability Report 2015-2016
Our strategy for dealing with fire is to treat the cause before the effect, and to treat the cause not by stick but by carrot. To that end, APRIL created the Fire Free Village Programme (FFVP) in 2015 as a community led fire prevention strategy that enables villages to qualify for infrastructure grants in return for achieving ‘no burn’ targets.
The FFVP also works to raise awareness of the wider and damaging impacts of fire, and to build capacity as well as leadership in finding alternative ways to develop community land required for agriculture.
In its introductory year, burned land shrank by 90%, in spite of that year being one of Indonesia’s worst for fire and haze with fire raging across 2.1 million hectares.
In 2016, the FFVP had successfully reached 18 villages (up from 9 at outset) leading to a 38% increase in community land coverage compared to 2015.
This continued the year-on-year increase in areas covered by FFVP Memoranda of Understanding (MOUs) – from 352,146ha in 2014, 427,876ha in 2015, to 592,080ha in 2016. In 2017, the FFVP aims to achieve coverage of 700,000 hectares of community land – almost 10 times the area of Singapore.
APRIL was also the founding partner of the pan-industry Fire Free Alliance (FFA), alongside other major players such as Wilmar, Musim Mas and Sime Darby. According to the FFA Members Review 2016 report, the FFA has engaged 218 villages on fire prevention at various fire-prone areas in Indonesia.
100,000
02013 2014 2015 2016
300,000
500,000
700,000
hect
ares
hect
ares
Burnt Area
MoU Area
200,000
400,000
600,000
0
400
800
1200
200
600
1000
1400
19APRIL - Sustainability Report 2015-2016APRIL - Sustainability Report 2015-2016 19
Management of Grievances and Disputes
In respect for the rights of indigenous peoples and rural communities throughout operation areas, the enhanced grievance resolution mechanism was introduced in August 2016 to address any type of stakeholder or community issue except for land disputes, for which there is a separate, defined procedure, and where government input or official process is often required.
In Indonesia, where overlapping land tenure creates complexities, we believe that aligning closely with communities, the government and other related stakeholders is the best path to achieving executable and long-term solutions.
Where land disputes occur, APRIL Group follows all relevant Indonesian laws and prioritizes dialogue and consensus-based conflict resolution processes.
For grievances related to land disputes, the Grievance Processing Unit (GPU) will refer to the process outlined in APRIL’s SOP on land dispute resolution.
Complainants can raise their grievances with Estate personnel or online, and have the option to remain anonymous. To enable third parties to air any grievances related to the implementation of our SFMP 2.0, we have developed a Grievance Resolution Procedure to ensure all grievances are transparently recorded and managed in a timely fashion with the involvement of concerned parties.
Indicators 2015 2016
Hectares and percentage of new operations* (concessions and blocks) with formal agreements in place with indigenous peoples and rural communities. 1
*New operations: Large scale developments of previously un-accessed areas or new
concessions which require Free, Prior, Informed Consent (FPIC). New operations relates to
first-time clearing on a concession.
Zero Zero
Ha of APRIL and supplier concessions currently inactive due to unresolved conflicts1
As part of our continuous work to improve data collection and records in relation to
land disputes and encroachment, a concerted effort was made in 2017 to ensure all
supply partners appropriately measure and record existing land disputes in APRIL's land
management system. Between January 1 and June 30, 2017, 18,055 hectares of land
disputes were entered into the database (including those disputes on conservation area),
increasing the total number of hectares of APRIL and supply partner concessions currently
inactive due to unresolved conflicts to 104,009 hectares. At this point, it is not possible to
determine with precision the exact date of the origination of the land disputes over the past
several years, as such, we will include these land disputes in our reported indicators on a
go-forward basis.
80,417 85,954
% of grievances addressed within 10 days2 N/A - new process in
2016
100% (of 1 grievance received
as of Dec 31, 2016)1 Data for APRIL and its supply partners. Market-based suppliers excluded 2 The grievance received in 2016 relates to APRIL's operations, however the mechanism is available to third-party in relation to APRIL and its suppliers' activities
Grievances cases are logged and tracked on the APRIL Sustainability Dashboard: http://sustainability.aprilasia.com/category/grievance-mechanism/17
20APRIL - Sustainability Report 2015-2016
People
We consider the diverse expertise and cultures of our employees as a competitive advantage with different nationalities working across APRIL Group in an environment of continuous learning.
APRIL - Sustainability Report 2015-2016 20
21APRIL - Sustainability Report 2015-2016
The APRIL Team
Our mission is to create a working environment in which people are valued, engaged in our core principles and are provided with the right conditions in which they can perform at their best.
We consider the diverse background of our employees as a competitive advantage, with different nationalities working across APRIL Group in an environment of continuous learning.
Our operation is located in the rural part of Indonesia where job creation is important, as is knowledge exchange and exposure to international standards gained through collaborations between Indonesian staff and international team members. This adds significantly to our employees’ skill sets in meeting the expectations of the unique Indonesian environment and those of our global stakeholders.
As we operate in a remote location in Riau province, we provide our employees with quality housing, recreational facilities, medical care and insurance, and access to
Our employee gender split
Labor groups In 2015 42.1% percent of APRIL's employees were members of four labor groups. In 2016 this was 44.3%.
national and international baccalaureate syllabus schools for their children. Many employees’ children have also received scholarships to further their studies and offered employment opportunities with the company.
Over the years, APRIL has developed systematic training programmes at the APRIL Learning Institute (ALI) in the Kerinci compound that focuses on developing technical and leadership skills for employees. We delivered 60,840 hours of training to employees and all employees receive annual performance and career development reviews. APRIL Group adheres to national labor laws and regulations, as well as our employment codes of practice that includes strict rules against the use of child or forced labor. We do not tolerate violence, intimidation or bribery. We respect collective bargaining rights and the majority of our employees are members of trade and labor unions.
Contractors
2015 2016
Mill 1,452 1,566
Fibre 8,671 9,648
Total contractors 10,123 11,214
Locals in Strategic Management Positions
2015 2016
No. of senior managers 17 17
No. of senior managers who are locals 12 11
70.6% 64.7%
Labor groups: 1. SP-Riaupulp2. SP-Riaupaper3. SP-Riaupower4. SP-RiauFibre
44.3%
10.45%89.55%
42.1%
20162015
Direct Employees
2015 2016
Male Female Male Female
Permanent 4,806 520 4,862 560
Contract 340 90 361 71
International staff 84 112
Total direct employees 5,840 5,966
2016
Based on Human Resources Department data per 31 December 2016
PermanentContractInternational Staff
2016total direct employees
5,966
7.2%
90.9%
1.9%
Mill ContractorsFibre Contractors
2016total
contractors
11,214
14.0%
86.0%
Locals senior manager
2016total senior managers
17
64.7%
Male Female
Human resources data relates to APRIL's own operations and excludes supplier data
22APRIL - Sustainability Report 2015-2016
No. of New Hires Rate of New Hires
By Gender 2015 2016 2015 2016
Male 805 583 87% 89%
Female 122 75 13% 11%
Total 927 658 100% 100%
By Age Group 2015 2016 2015 2016
≤ 20 194 73 21% 11%
21 – 30 515 380 56% 58%
31 – 40 139 129 15% 20%
41 – 50 54 55 6% 8%
≥ 51 25 21 3% 3%
Total 927 658 100% 100%
By Region 2015 2016 2015 2016
Sumatera 750 527 81% 80%
Java 137 89 15% 14%
Kalimantan 4 3 0.4% 0.5%
Sulawesi 2 1 0.2% 0.2%
International 34 38 4% 6%
Total 927 658 100% 100%
No. of Turnover Rate of Turnover
By Gender 2015 2016 2015 2016
Male 497 387 91% 89%
Female 47 48 9% 11%
Total 544 435 100% 100%
By Age Group 2015 2016 2015 2016
≤ 20 96 31 18% 7%
21 – 30 268 203 49% 47%
31 – 40 109 106 20% 24%
41 – 50 44 47 8% 11%
≥ 51 27 48 5% 11%
Total 544 435 100% 100%
By Region 2015 2016 2015 2016
Sumatera 405 327 74% 75%
Java 120 86 22% 20%
Kalimantan 4 4 1% 1%
Sulawesi 2 1 0% 0%
International 13 17 2% 4%
Total 544 435 100% 100%
MaleFemale
MaleFemale
≤ 2021 – 3031 – 4041 – 50≥ 51
≤ 2021 – 3031 – 4041 – 50≥ 51
SumateraJavaKalimantanSulawesiInternational
SumateraJavaKalimantanSulawesiInternational
new employees
employeesturnover
employeesturnover
employeesturnover
new employees
new employees
658 435 435 435658 658
89%
89%
11%3%8%
20%47%
7%11%
11%80%
6%0.2% 0%
0.5% 1%
14%
75%
11%
11%
58% 24%
20%
4%
New hires in 2016 by gender Turnover in 2016 by genderNew hires in 2016 by age group Turnover in 2016 by age groupNew hires in 2016 by region Turnover in 2016 by region
New Hires Turnover
Human resources data relates to APRIL's own operations and excludes supplier data
23APRIL - Sustainability Report 2015-2016
403-2
GRI SFMP
VII C
Health, Safety and Security
APRIL’s Health and Safety Policy reflects our commitment to a safe work culture. Our principle is zero tolerance for unsafe behaviour that could lead to injury or harm, and this applies to all our employees and contractors.
The Management Safety Committee is committed to ensuring safety for all and we ensure that employees are engaged and involved in this process.
Our Occupational Health and Safety (OHS) Program consists of four major elements:• Management commitment and employees’ involvement: management safety committee and KAIZEN initiatives.• Workplace analysis: General safety inspections, non-conformity report, Job Safety Analysis (JSA), emergency
drill and safety audits.• Hazard prevention and control: OHS promotion and campaign, safe work procedures and 5 Behavioural
Based Safety (BBS) implementation (think through task, evaluate exposure, risk assessment, precautionary action, executing job in a safe manner).
• Fire Occupational Health and Safety (OHS) training and education: training and certification (internal and external).
Our plantation and mill operations were certified under the Health & Safety Management System OHSAS 18001 requiring yearly audits. We are also reviewed under Indonesia’s principle of Occupational Health and Safety Management System or Sistem Management Keselamantan Kesehatan Kerja (SMK3).
Occupational SafetyIn spite of our focus on health and safety, 12 contractor workers in forestry and one contractor worker at the mill operations lost their lives during the reporting period of 2015 to 2016.
Analysis of these incidents showed that they were related to tree harvesting and non-conformance to safety standards.
The loss of even one life is completely unacceptable and we continue to implement a series of measures to address the causes of these incidents to ensure that the recurring risk is reduced.
Occupational Safety Improvement Measures• Ensure proper training and briefing to all employees, new hires and contract workers on OHS principles and
work procedures for their specific tasks.• Strengthen inspection programs, such as safety observation programs, non-conformance reports and
violation tickets, to prevent and correct unsafe behavior.• Conduct regular meetings on OHS issues with top management and department heads.
24APRIL - Sustainability Report 2015-2016
Indicator 2015 2016
Percentage of operations covered by Occupational Health and Safety (OHS) certification.
Total RAPP = 83%Total Suppliers = 5%*Total = 32%
Total RAPP = 83%Total Suppliers = 8%*Total = 33%
* Data includes both supply partners and open-market suppliers
Major Illnesses1 2013 2014 2015 2016
Upper Respiratory Tract Infections (URTI) 5573 5153 5888 5635
Non GE Motility Disorders 166 258 252 31
Malaria 150 72 18 10
1 Data includes both supply partners and open-market suppliers
2013 2014 2015 2016
Mill
Fibre
1
3
5
6
1
00
5
Fatalities (employees & contractors) In addition to APRIL’s own operations, for the 2015-2016 reporting period, we included reported fatalities from APRIL’s fibre supply partners. The data excludes market-based suppliers.
Occupational Health and Safety Certification
Injury rate is calculated based on OSHA (Occupational Safety and Health Administration) standardInjury rate=Number of injury x 200,000/manhours
Injury1 2015 2016
Fibre 0.46 0.31
Mill 1.59 1.54
Injury Rate (employees & contractors)
Community Development and Fostering Entrepreneurship
In line with the business philosophy that what’s good for the community is good for the company, we continually work to promote socio-economic development in the communities in which we operate.
The purpose of APRIL's Community Development programs is to contribute to poverty alleviation in Indonesia's rural areas where it is needed most, as well as to contribute to the overall effort of creating educated, economically independent and resilient communities in Indonesia.
During this reporting period, 361 students received scholarships to complete their high school diploma. Under the Talent Pool scholarship program, 45 students received financial assistance to obtain university degree and a job with APRIL upon graduation.
In determining the type of social infrastructure needed, the Community Development team consults with communities on the type of in-kind assistance needed at a particular area.
Social infrastructure projects are in the form of buildings and the provision of building materials, improving and building roads for public use, education and health support, religious and sports facilities.
Indicator 2015 2016
Total amount spent on social infrastructure projects USD 847,068 USD 256,975
Kilometers of road built for public use 9.40 3.10
Number of social infrastructure projects completed 12 15
Number of social infrastructure projects for which materials were provided 165 171
Number of multi stakeholder forums by location (rembuk desa) 83 61
Data for APRIL's own operations only. Supply partners and market-based suppliers excluded.
25APRIL - Sustainability Report 2015-2016
GRI SFMP
Integrated Farming System (IFS) Initiated in 1999, this initiative is to enable farmers achieve greater diversification, efficiencies and yields. The main activities of the programme include training and providing ongoing technical and agricultural support to farmers.
Since the program’s commencement, we donated two training centres to the local district government and continue to manage one training facility.
Indicators* 2015 2016
Farmers trained to cultivate farmland 195 248
Farmer groups supported with agricultural materials 41 44
Supporting Small and Medium Enterprises APRIL launched the Small and Medium Enterprise (SMEs) development programme with the objective of providing aspiring entrepreneurs with technical and financial expertise.
Examples of SME businesses that directly support our operations are fibre plantation planting and maintenance teams, harvesting contractors and transport services.
Indicators* 2015 2016
Number of Small and Medium Enterprises (SMEs) contracted by APRIL
134 130
* Data for APRIL's own operations only. Supply partners and market-based suppliers excluded
26APRIL - Sustainability Report 2015-2016
SulaimanCocopeat Entrepreneur
After stints as a contractor on a number of government projects, Pangkalan Kerinci resident Sulaiman established his company Rifky Pratama Sanjaya, which now supplies 200 tons of cocopeat per month to Riau Andalan Pulp and Paper (RAPP).
The father of two explained that as a producer of cocopeat, a planting medium to grow Acacia and Eucalyptus seeds made from coconut husks, he employs 40 staff members, based in Pangkalan Kerinci and Lampung Province, from where he gets his material.
"RAPP doesn't give the capital for the business but provides guidance and recommendations to Bank Mandiri and Bank Rakyat Indonesia," Sulaiman said. He secured up to Rp1 billion ($75,000) in loans from the two banks, which he used to buy machinery to produce cocopeat, build a warehouse in Pangkalan Kerinci and for working capital.
Sulaiman explained that his workers used to do odd jobs that barely generated Rp1 million ($75) a month. At his company, they have a steady income of up to Rp4 million ($300).
In Lampung province, one of the largest coconut producing areas, his company employs 30 people. Every week, the Lampung site sends 70% finished product to Pangkalan Kerinci for completion before being delivered to RAPP.
Sulaiman's cocopeat is utilized at RAPP's central nurseries and two satellite nurseries that are located near the company's main operational area in Pangkalan Kerinci.
Hari Fitri RamdhaniBatik Maker
Hari Fitri Ramdhani of Pelalawan district, Riau, never imagined she could make a living from batik, a traditional fabric dyed with natural colours more closely associated with Javanese artisans.
Through the community development programme, RAPP funded the establishment of the Andalan Cooperative, built a workshop for the production house Rumah Batik Andalan (RBA) and a shop to sell the handmade batik.
The co-op sought out women who wanted to be trained to make batik and today 10 of them are working in RBA. All learned batik-making from scratch but can now make up to 130 pieces of batik cloth and yield about Rp20 million (US$1,500) in monthly sales. They were trained by master batik craftsmen from Solo, Yogyakarta and Pekalongan.
Fitri says the money has helped her and her husband, who does odd jobs as a car mechanic, buy a house. She adds: “We have other buyers now, including (RAPP’s) guests who buy our batik as souvenirs to bring home, local administrators, staff of nearby companies and locals who buy batik from our shop in Pangkalan Kerinci.”
Profiles
RAPP doesn't give the capital for the business but provides guidance and recommendations to Bank Mandiri and Bank Rakyat Indonesia. We have other buyers
now, including (RAPP’s) guests who buy our batik as souvenirs to bring home.
27APRIL - Sustainability Report 2015-2016
The integrated pulp and paper mill is equipped with the best available technology and all emissions and effluent produced are monitored regularly and measured against external standards
Pulp and Paper Mill Operations
APRIL - Sustainability Report 2015-2016 27
28APRIL - Sustainability Report 2015-2016
Pulp and Paper Mill Operations
The integrated pulp and paper mill is equipped with the best available technology and all emissions and effluent produced are monitored regularly and measured against external standards. APRIL complies with all Indonesian environmental regulations.
Our long-term objective is to increase mill energy efficiency and use of renewable fuel sources, and establish an accurate baseline for GHG emissions from which to base reduction targets.
Materials
We re-use most of our solid waste, such as milling residues and black liquor, which are by-products from the kraft process to digest woodchip into paper pulp. These by-products are then reused in the recovery and power boilers for energy recovery and material recovery, improving our operating efficiency and usage of recycled materials.
All our nurseries, estates and mills separate their wastes for proper handling and disposal.
Materials Used For Pulp
RENEWABLE
Materials Used Unit 2013 2014 2015 2016
Wood
tons (mil) 10.23 9.50 9.96 10.10
adt/adt 3.99 4.12 4.16 3.95
Water
m3 (mil) 87.96 73.93 77.49 73.83
m3/adt 33.27 29.44 29.55 27.48
NON - RENEWABLE
Materials Used Unit 2013 2014 2015 2016
Salt kg/adt 25.08 26.38 25.89 25.25
Tons 66,292 66,245 67,907 67,841
Sodium Sulphate kg/adt 15.95 14.59 12.51 11.89
Tons 66,292 66,245 67,907 67,841
Limestone kg/adt 6.44 10.65 26.08 62.00
Tons 17,029 26,756 68,406 166,572
Lime kg/adt 0.016 0.008 0.009 0.001
Tons 42,851 21,257 22,444 4,002
Caustic Soda kg/adt 21.17 15.16 13.26 13.74
Tons 55,970 38,073 34,771 36,913
Talc kg/adt 1.05 0.61 0.47 0.46
Tons 2,765 1,526 1,223 1,223 Environmental data covers the Kerinci mill and excludes data from APRIL's forestry operations and supplier operations
Our pulp and paper mills are located in a 1,750 hectare manufacturing complex within our concession areas in Riau Province, central Sumatra. The complex is adjacent to the town of Pangkalan Kerinci.
29APRIL - Sustainability Report 2015-2016
As indicated below, there was a decrease in black liquor production from 2013. This resulted from the processing of more Acacia wood, and the eventual phase out of mixed hardwood as a fibre supply to the mill as of January 1, 2016. Between the wood types, Acacia wood generates less black liquor and bark elements to produce biofuel. We are seeking alternative sources of biomass, such as palm husk and palm shell, to reduce the use of fossil fuels to meet our energy needs. Black liquor, sludge, palm fibre and methanol are recycled and used as fuel.
Black Liquor Biofuel
tons 4,481,269 3,976,120 4,138,441 4,160,357
t/adt 1.70 1.58 1.58 1.55
1.02013 2014 2015 2016
1.4
1.8
2.2
2.6
1.2
1.6
2.0
2.4
2.8
(t/ad
t pul
p)
3.6
4.0
4.4
4.8
5.2
3.8
4.2
4.6
5.0
5.4
(tons
)
Recycled MaterialsMaterials Used for Paper
RENEWABLE
Materials Used Unit 2013 2014 2015 2016
Precipitated Calcium Carbonate (PCC) kg/t 128.80 140.18 140.58 144.97
Tons 108,599 118,326 114,864 120,775
Purchased pulp kg/t 39.91 40.51 52.84 93.42
Tons 33,654 34,197 43,104 78,399
Internal Pulp kg/t 747.55 748.56 741.20 691.90
Tons 630,321 631,839 605,623 580,665
CO2 emission consumed by PCC plant kg/t 56.67 61.68 61.85 63.79
Tons 47,784 52,063 50,540 53,141
Starch (Purchased) kg/t 40.71 41.11 42.03 42.08
Tons 34,329 34,699 34,343 35,315
Water m3/t 6.58 7.96 7.58 7.93
m3 (mil) 5.54 6.72 6.19 6.61
NON-RENEWABLE
Materials Used Unit 2013 2014 2015 2016
Ground Calcium Carbonate (GCC) kg/t 82.30 73.30 73.96 80.20
Tons 69,390 61,869 60,431 66,815
Environmental data covers the Kerinci mill and excludes data from APRIL's forestry operations and supplier operations
30APRIL - Sustainability Report 2015-2016
Our precipitated calcium carbonate (PCC) plant combines calcium hydroxide with waste CO2 captured from our lime kilns. As an integrated pulp mill, APRIL uses lime kilns to convert calcium carbonate to calcium oxide or quicklime. This process generates a significant amount of CO2. Rather than emit this gas as waste, we capture a portion of it to produce calcium carbonate on site.
522013 2014 2015 2016
56
60
64
68
54
58
62
66
70
Emitted CO2 Consumed by PCC Plant
(kg/
t pap
er)
adt 47,784 52,063 50,540 53,141
kg/adt paper 56.67 61.68 61.68 63.79
44
48
52
56
60
46
50
54
58
62
(tons
) x10
00
0.02013 2014 2015 2016
0.2
0.4
0.6
0.8
0.1
0.3
0.5
0.7
0.9
Bark, Palm, Husk and Sludge as Biofuel
(t/ad
t pul
p)
bark tons 1,275,598 747,954 1,040,577 722,573
husk tons 32,971 54,096 125,048 121,427
sludge tons 69,689 75,333 84,742 85,117
t/adt 0.52 0.35 0.48 0.35
0
400
800
1200
1600
200
600
1000
1400
1800
(tons
) x10
00
0.02013 2014 2015 2016
2.0
4.0
6.0
8.0
1.0.
3.0
5.0
7.0
9.0
Methanol Captured from Evaporators
(kg/
adt p
ulp)
tons 18,535 19,216 19,911 16,706
kg/adt pulp 7.01 7.65 7.59 6.22
15
17
19
21
23
16
18
20
22
24
(tons
) x10
00
We capture methanol from weak black liquor through a process of evaporation and distillation. This valuable biofuel is reused in our lime kilns, replacing fossil fuel.
Environmental data covers the Kerinci mill and excludes data from APRIL's forestry operations and supplier operations
31APRIL - Sustainability Report 2015-2016
Energy Contribution by Fuel Type
Energy Contribution by Fuel Source
renewable 79.8%
non-renewable 20.20%
black liquor 59.5%
bark 16.7%
sludge 1.6%
palm husks 1.4%
methanol 0.6%
natural gas 7.3%
coal 12.3%
diesel 0.05%
MFO 0.5%
Energy
Almost 80% of the fuel we use is by-product biomass and black liquor. This fuel is recovered through four processing boilers. We introduced a methanol recovery project in 2010, which is designed to capture this valuable fuel from the evaporation of black liquor.
Indicator 2015 2016
Energy consumption within the Kerinci mill 73,364 TJ 86,513 TJ
Most of the fuel we use is by-product biomass and black liquor
79.8%
59.5%
Environmental data covers the Kerinci mill and excludes data from APRIL's forestry operations and supplier operations
32APRIL - Sustainability Report 2015-2016
1.022013 2014 2015 2016
1.04
1.06
1.08
1.10
1.03
1.05
1.07
1.09
1.11
Electricity Consumption
(MW
hr/a
dt)
TWhours 3.1 3.0 3.1 3.1
Electricity for pulp and paper
1.09 1.10 1.08 1.05
2.9
3.0
3.0
3.0
3.1
2.9
3.0
3.0
3.1
3.1
ener
gy (T
W h
ours
)
15.02013 2014 2015 2016
17.0
19.0
21.0
23.0
16.0
18.0
20.0
22.0
24.0
Steam Consumption
(GJ/
adt)
Peta Joules 51.2 48.4 50.7 53.0
Total steam load 17.9 17.8 17.9 18.0
46.0
48.0
50.0
52.0
54.0
47.0
49.0
51.0
53.0
55.0
ener
gy (P
J)
Total Electricity Production
2015 2016
3,166,269 3,208,268megawatts megawatts
2.2% 2.8%sold to the local grid sold to the local grid
2013 2014 2015 2016
Total Electricity Sold to Local Grid (MWh) 44,850 49,769 68,415 90,940
+1.3%
Electricity Consumed by Mill Area pulp 55.9%
power 22.5%
paper 3.5%
sold 3.5%
Environmental data covers the Kerinci mill and excludes data from APRIL's forestry operations and supplier operations
33APRIL - Sustainability Report 2015-2016
Accessible water is important for the wellbeing of communities and the ecosystem
34APRIL - Sustainability Report 2015-2016
2013 2014 2015 2016
Total Water Withdrawn from Kampar River
0
40
80
120
160
20
60
100
140
180
milli
on m
3
sold 5.4 5.3 5.5 5.5
paper 5.5 6.7 6.2 6.6
power 23.0 20.9 21.8 22.2
pulp 88.7 73.9 77.5 73.8
Total 122.0 106.9 111.0 108.2
Water
Water is a critical natural resource input in paper making – apart from its obvious role in forest growth, it is used for transport, as a solvent and in power generation.
Our water source, the Kampar River, also has a central role in the local community for transport, potable water supply, fishing and other activities.
Recognizing that clean, accessible water is important for the wellbeing of communities and the ecosystem, we protect and regularly monitor our operations’ impact on local waterways, ensuring we maintain water quality, employ wastewater treatment processes before discharging and comply with local environment regulations.
Our mill has an on-site wastewater treatment facility that processes about 265,000 cubic meters a day and 89% of treated waste water is returned to the Kampar River.
Suspended solids and organic contaminants are removed and the recovered solids are utilized as biomass fuel in the power boiler.
Post-treatment effluent monitoring is carried out by mill technicians and, once a month, by an accredited third-party testing company. The results are reported to regulators ensuring that we comply with standards set by the government.
Recycling of Water
Our mill uses high levels of internal recycling. Some production stages, such as the paper machine forming section, involve very dilute processes that require high water efficiency.
A counter current washing system is used in the mill in pulp washing stage, where condensates from an evaporator are used in washing pulp. Steam condensates from dryers are collected and reused as boiler feed water.
Water is used in almost every part of the pulp and paper making process, both directly as a solvent, and indirectly in transporting materials (for example, pulp slurry) through the mill, and in power generation.
02013 2014 2015 2016
20
40
60
80
10
30
50
70
90
Water Consumption for Pulp and Paper
(m3 /a
dt)
million m3 93.5 80.7 83.7 80.4
m3/adt 32.7 29.6 29.5 27.3
0
40
80
120
160
20
60
100
140
180
(milli
on m
3 )
Environmental data covers the Kerinci mill and excludes data from APRIL's forestry operations and supplier operations
35APRIL - Sustainability Report 2015-2016
02013 2014 2015 2016
20
40
60
80
10
30
50
70
90
Treated Waste Water Discharged to Kampar River
(m3 /a
dt)
million m3 101.5 93.8 93.9 86.5
m3/adt 35.5 34.5 33.1 29.4
local LEV 85.0 85.0 85.0 85.0
75
85
95
105
115
80
90
100
110
120
volu
me
(milli
on m
3 )Emissions
The carbon performance indicators focus on greenhouse gas (GHG) emissions associated with the Kerinci mill. Research is underway to eventually include land use emissions and sequestration associated with forestry operations.
2015 2016
Mill tonnes of GHG / tonne of pulp 0.44 metric ton CO2eq/ADT Pulp
0.58 metric ton CO2eq/ADT Pulp
Mill tonnes of GHG / tonne of paper 0.75 metric ton CO2eq/ton paper
0.99 metric ton CO2eq/ton paper
Scope 1 GHG emissions
No Scope 2 GHG emissions exist as the Kerinci mill does not purchase electricity
1,480,472.74 tco2e 2,005,825.75 tco2e
Air Emissions
The main sources of air emissions at our mill operations are recovery boilers, power boilers, fibre lines, bleaching plant and lime kilns. Recovery and power boilers are used to generate steam that powers seven steam turbines, generating approximately 535 MW of electricity.
The recovery boiler, power boilers and lime kiln stacks are fitted with emissions abatement equipment in the form of electrostatic precipitators to reduce the particulate loading of air emissions.
We have installed Continuous Emissions Monitoring System (CEMS) equipment at the main emission sources to capture data, which is then assessed at our control rooms in addition to third party monitoring for local regulatory reporting. The results of CEMs and third-party monitoring are reported to regulators.
Water Consumption by Area
pulp 69%
power 20%
paper 6%
sold 5%
The chart above shows that pulp is the biggest consumer of water, accounting for 69 percent of consumption, followed by power generation, then paper. A small amount is sold to locations such as our town site, our hotel, forestry research and development facilities and our tree nursery.
Environmental data covers the Kerinci mill and excludes data from APRIL's forestry operations and supplier operations
36APRIL - Sustainability Report 2015-2016
0.02013 2014 2015 2016
2.0
4.0
6.0
8.0
1.0
3.0
5.0
7.0
9.0
NOX Treated Air Emissions
(kg/
adt)
NOx tons 5,209 6,215 2,491 5,869
kg/adt 1.82 2.28 0.88 1.99
0
2
4
6
8
1
3
5
7
9
(tons
) x10
00
2013 2014 2015 2016
Total Particulate Treated Air Emissions
0
10
20
30
40
5
15
25
35
45
(tons
) x10
0
0.0
0.5
1.00
1.50
2.00
0.25
0.75
1.25
1.75
2.25
(kg/
adt)
TSP tons 3,533 4,004 3,013 2,417
kg/adt 1.23 1.47 1.06 0.82
Increasing coal use due to the decline of biomass availability has caused more SO2 emission.
The NOx drop in 2015 was due to the decline in fuel N content (gas). The NO2 figure in 2016 was attributed to the increase of Nitrogen content from gas that was used as fuel in the lime kiln. The burning of more nitrogen resulted in the increase of NO2 emissions.
2013 2014 2015 2016
SOX as S Treated Air Emission
0
4
8
12
16
2
6
10
14
18
(tons
) x10
0
0.0
0.4
0.8
1.2
1.6
0.2
0.6
1.0
1.4
1.8
(kg/
adt)
SOX as S tons 734 656 1,269 1,372
kg/adt 0.26 0.24 0.45 0.47
0.02013 2014 2015 2016
0.10
0.20
0.30
0.40
0.05
0.15
0.25
0.35
0.45
TRS as S Treated Air Emission
(kg/
adt)
TRS as S tons 122 174 45 46
kg/adt 0.04 0.06 0.02 0.02
0
100
200
300
400
50
150
250
350
450
(tons
)
Environmental data covers the Kerinci mill and excludes data from APRIL's forestry operations and supplier operations
37APRIL - Sustainability Report 2015-2016
0.02013 2014 2015 2016
1.0
2.0
3.0
4.0
0.5
1.5
2.5
3.5
4.5
BOD5 Treated Waste Water
(kg/
adt)
tons 1,747 1,503 1,698 2,062
measured kg/adt 0.61 0.55 0.60 0.70
local LEV 8.5 8.5 8.5 8.5
0
10
20
30
40
5
15
25
35
45
(tons
) x10
0
Water Discharge - Total Suspended Solids (TSS)
Water Discharge - Biological Oxygen Demand
Water Discharge - Chemical Oxygen Demand
Water Discharge - Adsorbable Organic Halides (AOX)
02013 2014 2015 2016
10
20
30
40
5
15
25
35
45
COD Treated Waste Water
(kg/
adt)
million m3 17,171 14,831 15,224 16,055
m3/adt 6.8 8.3 7.5 5.45
local LEV 29.8 29.8 29.8 29.8
0
4
8
12
16
2
6
10
14
18
(tons
)
2013 2014 2015 2016
TSS Treated Waste Water
0
10
20
30
40
5
15
25
35
45
(tons
) x10
0
0.0
2.0
4.0
6.0
8.0
1.0
3.0
5.0
7.0
9.0
(kg/
adt)
tons 4,294 3,573 2,952 3,033
measured kg/adt 1.5 1.3 1.0 1.0
local LEV 8.5 8.5 8.5 8.5
0.02013 2014 2015 2016
0.10
0.20
0.30
0.40
0.05
0.15
0.25
0.35
0.45
AOX Treated Waste Water
(kg/
adt)
tons 86 82 82 97
measured kg/adt 0.030 0.030 0.029 0.033
0
40
80
120
160
20
60
100
140
180
(tons
)
Emissions to water
Environmental data covers the Kerinci mill and excludes data from APRIL's forestry operations and supplier operations
38APRIL - Sustainability Report 2015-2016
Solid Waste by Type
2013 2014 2015 2016
Solid Waste to Landfill
0
100
200
300
400
50
150
250
350
450
(tons
) x10
00
sludge - - - 6,969
dregs & grits 78,582 39,998 43,995 43,202
lime mud 13,074 1,748 7,060 -
screen reject 17,862 15,941 - -
boiler ash 262,547 233,696 141,292 200,708
total ton/adt 0.130 0.107 0.068 0.085
0.0
0.04
0.08
0.12
0.16
0.02
0.06
0.10
0.14
0.18
(ton/
adt)
Solid WasteWater Discharge - Total Nitrogen
0.002013 2014 2015 2016
0.10
0.20
0.30
0.05
0.15
0.25
Nitrogen in Treated Waste Water
(kg/
adt)
tons 201 361 361 548
measured kg/adt 0.100 0.160 0.134 0.190
0
200
400
600
100
300
500
(tons
)
Water Discharge - Total Phosphorous
0.02013 2014 2015 2016
0.02
0.04
0.01
0.03
0.05
Phosphorus in Treated Waste Water
(kg/
adt)
tons 115 45 117 58
measured kg/adt 0.057 0.020 0.043 0.020
0
40
80
120
20
60
100
140
(tons
)
The mill’s landfill is for the disposal of non-hazardous waste only. Disposal of oil, fuel, lubricants, chemicals, COD analysis bottles or vials, dyes or colorants, bark and wood waste, screened rejects, used chemical bags, chemical and oil containers, tyres, paints or thinners, toner and toner cartridges, scrap metal, metal chips, wooden pallets, pulp machine felts, scrap computers and laboratory waste are prohibited.
A dedicated site for hazardous wastes (B3) is located at the mill site. We have strict environmental procedures for operations and control of this facility.
ash 77.2%
lime mud 1.6%
dregs 19.7%
sludge 1.6%
Environmental data covers the Kerinci mill and excludes data from APRIL's forestry operations and supplier operations
GRI Content Index and Sustainable Development Goals Table
GRI Standards Disclosures and SFMP 2.0 Indicators
Section and Page Sustainable Development Goals (SDGs)
GRI 101 Foundation GRI 102 General Disclosures
Organizational Profile
Disclosure 102-1Name of the organization
About APRIL Group - page 8
Disclosure 102-2Activities, brands, products, and services
About APRIL Group - page 8
Disclosure 102-3Location of headquarters
About APRIL Group - page 8
Disclosure 102-4Location of operations
About APRIL Group - page 8
Disclosure 102-5Ownership and legal form
About APRIL Group - page 8
Disclosure 102-6Markets served
About APRIL Group - page 8
Disclosure 102-7Scale of the organization
About APRIL Group - page 8, 10
Disclosure 102-8Information on employees and other workers
APRIL Team - page 21 8
Disclosure 102-9Supply chain
Sustainable Forest Management - page 12
Disclosure 102-10Significant changes to the organization and its supply chain
Transition from Sustainable Forest Management Policy to the Sustainable Forest Management Policy 2.0 (SFMP 2.0)
15
Disclosure 102-11Precautionary Principle or approach
• Sustainable Forest Management - page 11 • Material aspects and boundary - page 6
8, 15
Disclosure 102-12External initiatives
About APRIL Group - page 8 17
Disclosure 102-13Membership of associations
Stakeholder Engagement - page 6 17
GRI Standards Disclosures and SFMP 2.0 Indicators
Section and Page Sustainable Development Goals (SDGs)
Strategy
Disclosure 102-14Statement from senior decision-maker
President's Letter to Stakeholders - page 2
Ethics & Integrity
Disclosure 102-16Values, principles, standards, and norms of behavior
About APRIL Group - page 8 1, 8, 9, 12, 13, 15
Governance
Disclosure 102-18Governance structure
About APRIL Group - page 9
Stakeholder Engagement
Disclosure 102-40List of stakeholder groups
Stakeholder Engagement - page 6
Disclosure 102-41Collective bargaining agreements
APRIL Team - page 21 8
Disclosure 102-42Identifying and selecting stakeholders
Stakeholder Engagement - page 6
Disclosure 102-43Approach to stakeholder engagement
Stakeholder Engagement - page 6
Disclosure 102-44Key topics and concerns raised
Material Aspects and Boundary - page 6
Reporting Practice
Disclosure 102-45Entities included in the consolidated financial statements
About APRIL Group - page 8
Disclosure 102-46Defining report content and topic Boundaries
Material Aspects and Boundary - page 6
Disclosure 102-47List of material topics
Material Aspects and Boundary - page 6
Disclosure 102-48Restatements of information
None
Disclosure 102-49Changes in reporting
This report includes suppliers' forestry and OHS disclosures.
39APRIL - Sustainability Report 2015-2016
GRI Standards Disclosures and SFMP 2.0 Indicators
Section and Page Sustainable Development Goals (SDGs)
Disclosure 102-50Reporting period
About the Report - page 5
Disclosure 102-51Date of most recent report
About the Report - page 5
Disclosure 102-52Reporting cycle
About the Report: biannual - page 5
Disclosure 102-53Contact point for questions regarding the report
About the Report - page 5
Disclosure 102-54Claims of reporting in accordance with the GRI Standards
About the Report - page 5
Disclosure 102-55GRI content index
Reported
Disclosure 102-56External assurance
External Assurance Statement - page 46
Sustainable Forest Management Policy 2.0 (SFMP 2.0) Indicators
I B) Number of hectares of new development (mineral soil, peatland)
Sustainable Forest Management - page 12 15
VI A) Number and percentage of new operations (concessions and blocks) with formal agreements in place with indigenous peoples and rural communities
Management of Grievances and Disputes - page 19 16
VIB) Hectares of APRIL and supplier concessions currently inactive due to unresolved conflicts
Management of Grievances and Disputes - page 19 16
VIIC) Percentage of APRIL, supplier and contractor operations covered by OHS certification
Health Safety and Security - page 24 8
VIII A) Number of instances of fire on concessions by cause (APRIL or supplier or third party initiated)
Fire Prevention and Response - page 17 13, 15
VIII B) Percentage of fiber covered by legality certification Sustainable Forest Management - page 12 15
ECONOMIC
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
Community Development and Fostering Entrepreneurism - page 24
103-2 The management approach and its components
Community Development and Fostering Entrepreneurism - page 24
103-3 Evaluation of the management approach Community Development and Fostering Entrepreneurism - page 24
GRI 203Indirect economic impact
203-1 Infrastructure investments and services supported
Community Development and Fostering Entrepreneurism - page 24
9
203-2 Significant indirect economic impacts Community Development and Fostering Entrepreneurism - page 24
2
ANTI-CORRUPTION
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
About APRIL Group - page 8
103-2 The management approach and its components
About APRIL Group - page 8
GRI 205 Anti-corruption
203-3 Confirmed incidents of corruption and actions taken
None reported 16
MATERIALS
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
Pulp and Paper Mill - page 28
103-2 The management approach and its components
Pulp and Paper Mill - page 28 9
103-3 Evaluation of the management approach Pulp and Paper Mill - page 28
GRI 301 Materials
301-1 Materials used by weight or volume Pulp and Paper Mill - page 28
301-2 Recycled input materials used Pulp and Paper Mill - page 28
Material Topic
40APRIL - Sustainability Report 2015-2016
ENERGY
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
Pulp and Paper Mill - page 28
103-2 The management approach and its components
Pulp and Paper Mill - page 28
103-3 Evaluation of the management approach Pulp and Paper Mill - page 28
GRI 302-1Energy
302-1 Energy consumption within the organization
Energy - page 31 7
302-4 Reduction of energy consumption Energy - page 31 7
WATER
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
Water - page 34
103-2 The management approach and its components
Water - page 34 6
103-3 Evaluation of the management approach Water - page 34
GRI 303Water
303-1 Water withdrawal by source Water - page 34
303-3 Water recycled and reused Water - page 34 6
BIODIVERSITY
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
Sustainable Forest Management - page 12 Restorasi Ekosistem Riau (RER) - page 16
103-2 The management approach and its components
Sustainable Forest Management - page 12 Restorasi Ekosistem Riau (RER) - page 16
103-3 Evaluation of the management approach Sustainable Forest Management - page 12
GRI 304 Biodiversity
304-1 Operational sites owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas
Sustainable Forest Management - page 12, 16
15
304-3 Habitats protected or restored Restorasi Ekosistem Riau (RER) - page 16
15
304-4 IUCN Red List species and national conservation list species with habitats in areas affected by operations
Restorasi Ekosistem Riau (RER) - page 16
15
EMISSION
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
Pulp and Paper Mill - page 28
103-2 The management approach and its components
Pulp and Paper Mill - page 28 12
103-3 Evaluation of the management approach Pulp and Paper Mill - page 28
GRI 305 Emission
305-1 Direct (Scope 1) Green house gas (GHG) emissions
Pulp and Paper Mill - page 35
305-2 Energy indirect (Scope 2) GHG emissions Pulp and Paper Mill - page 35
305-4 GHG emissions intensity Pulp and Paper Mill - page 35
305-7 Nitrogen oxides (NOX), sulfur oxides (SOX), and other significant air emissions
Pulp and Paper Mill - page 36
EFFLUENTS AND WASTE
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
Pulp and Paper Mill - page 28
103-2 The management approach and its components
Pulp and Paper Mill - page 28
103-3 Evaluation of the management approach Pulp and Paper Mill - page 28
GRI 306: Effluents and waste
306-1 Water discharge by quality and destination
Pulp and Paper Mill - page 35 6
306-2 Waste by type and disposal method Pulp and Paper Mill - page 28 Materials - page 28Solid Waste - page 38
6
41APRIL - Sustainability Report 2015-2016
EMPLOYMENT
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
APRIL Team - page 21
103-2 The management approach and its components
APRIL Team - page 21 8
103-3 Evaluation of the management approach APRIL Team - page 21
GRI 401Employment
401- 1 New employee hires and employee turnover
APRIL Team - page 21
401-2 Benefits provided to full-time employees that are not provided to temporary or part-time employees
APRIL Team - page 21
OCCUPATIONAL HEALTH AND SAFETY
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
Health, safety and security - page 23
103-2 The management approach and its components
Health, safety and security - page 23
103-3 Evaluation of the management approach Health, safety and security - page 23
GRI 403-2 Occupational health and safety
403-2 Types of injury and rates of injury, occupational diseases, lost days, and absenteeism, and number of work-related fatalities
Health, safety and security - page 23 8
TRAINING AND EDUCATION
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
APRIL Team - page 21
103-2 The management approach and its components
APRIL Team - page 21 8
103-3 Evaluation of the management approach APRIL Team - page 21
GRI 404 Training and education
404-1 Average hours of training per year per employee
APRIL Team - page 21
404-3 Percentage of employees receiving regular performance and career development reviews
APRIL Team - page 21
RIGHTS OF INDIGENEOUS PEOPLES
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
Sustainable Forest Management - page 11
103-2 The management approach and its components
Sustainable Forest Management - page 11
1
103-3 Evaluation of the management approach Management of grievances and disputes - page 19
GRI 411Rights of indigineous peoples
411-1 Incidents of violations involving rights of indigenous peoples
Management of grievances and disputes - page 19
LOCAL COMMUNITIES
GRI Standard Disclosure Page Sustainable Development Goals (SDGs)
GRI 103 Management Approach
103-1 Explanation of material topic and boundary
Community development and fostering entrepreneurialism - page 24
103-2 The management approach and its components
Community development and fostering entrepreneurialism - page 24
9
103-3 Evaluation of the management approach Community development and fostering entrepreneurialism - page 24
GRI 413Local communities
413-1 Operations with local community engagement, impact assessments, and development programs
Community development and fostering entrepreneurialism - page 24
42APRIL - Sustainability Report 2015-2016
GOAL 1End poverty in all its forms everywhere
GOAL 2End hunger, achieve food security and improved nutrition and promote sustainable agriculture
GOAL 6Ensure availability and sustainable management of water and sanitation for all
GOAL 7Ensure access to affordable, reliable, sustainable and modern energy for all
GOAL 8Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all
GOAL 9Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation
GOAL 10Reduce inequality within and among countries
GOAL 12Ensure sustainable consumption and production patterns
GOAL 13Take urgent action to combat climate change and its impacts
GOAL 15Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss
GOAL 16Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels
GOAL 17Strengthen the means of implementation and revitalize the global partnership for sustainable development
Glossary
Acacia crassicarpa and Acacia mangium
Two species of Acacia, characterised by fast growing and good pulping qualities. APRIL plants Acacia crassicarpa on peatlands and Acacia mangium on dry, mineral soils.
ADT Air Dry Tonne, Marketable pulp (air dried) which contains 10% water
AOX Adsorbable organically bound halogens (AOX) are a group of chemicals that can be adsorbed from water onto activated carbon. AOX expresses the total concentration of chlorine bound to organic compounds in wastewater. It measures all chlorine compounds, both harmful and harmless
Biodiversity Total diversity or variation of life within a given ecosystem.
Biofuel Biofuel is based on raw material derived from living organisms and therefore is classified as a renewable source
BOD Biological oxygen demand. A measure of the amount of oxygen that bacteria will consume, while decomposing biologically available organic matter. BOD is a measure of the degree of organic pollution in water. Also see “COD”.
Carbon footprint A measure of the total amount of carbon dioxide (CO2), nitrous oxide (N2O) and methane (CH4) emissions of a defined population, system or activity, considering all relevant sources, sinks and storage within the spatial and temporal boundary of the population, system or activity of interest. Calculated as carbon dioxide equivalent (CO2e) using the relevant 100-year global warming potential (GWP100).
COD Chemical oxygen demand. COD does not differentiate between biologically available and inert organic matter, and is therefore a measure of the total quantity of oxygen required to oxidize all organic matter into carbon dioxide and water.
CoC Chain of Custody, which involves monitoring, tracing and documenting the flow of fibre from the plantation to the mill.
Concession General term for licenses where plantation forests are established for the production of pulp and paper products
ELV Emission Limit Values - relating to National regulations concerning environmental discharges from a pulp and paper factory.
Eucalyptus A large family of trees, common in Australia. Certain species, like the Eucalyptus pellita, are native to Indonesia. APRIL Indonesia is currently expanding its use of Eucalyptus on dry, mineral soils
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IFCC Indonesian Forestry Certification Cooperation is the national PEFC-endorsed forest certification system in Indonesia
IFS Integrated Farming System: Initiated in 1999, this initiative is to enable farmers achieve greater diversification, efficiencies and yields. The main activities of the programme include training and providing ongoing technical and agricultural support to farmers.
Kaizen Kaizen is a practice of implementing continuous improvement.
Kerinci Location in Riau Province, Sumatra, Indonesia. Home to APRIL’s Indonesia operations.
Kraft Kraft process (also known as sulphate pulping process). This process is versatile, allowing most types of wood to be used as raw material. Unbleached kraft pulp is brown in colour, and its uses include brown sack paper and bags. For use as printing or writing papers, it needs to be bleached.
Kampar Peninsula The Kampar Peninsula is situated in the province of Riau, on the east coast of central Sumatra in Indonesia. It is delimited by sea in the north and east, by the Kampar River in the south and the Kutup River in the west.
Land dispute Land in Indonesia is predominantly state-owned. The right to use the land is given to certain companies and individuals under licensed concessions for which fees or royalties are payable. A major exemption to this is traditional village land, usually small plots on which villagers grow subsistence and cash crops. Disputes may arise through overlapping claims to the same land, or through lack of provable land titles and questionable recognition of traditional rights
Multi stakeholder forum Multi stakeholder forum or rembuk desa is a consultation forum between community and APRIL representatives to discuss the type of in-kind social infrastructure assistance needed at a particular area.
New development New development is the clearing of land for planting or building of infrastructure
NOx Nitrogen oxides such as nitric oxide and nitrogen dioxide, (NO and NO2).
Occupational Health and Safety certification
Defined as SMK3 certification as required by Indonesian law or an equivalent certification for those suppliers operating outside Indonesia.
PIMS Plantation Information Management System is a software utilized by APRIL, using Geographic Information Systems software linked to databases on plantation stock, inventory, operational status, work-orders and costs
FLEGT Forest Law Enforcement, Governance and Trade is the European Union's effort to exclude illegal timber from markets, to improve the supply of legal timber and increase the demand for responsible wood products.
Fibre Fibre from plantation forests
FPIC Free, prior, informed consent, a form of bottom-up participation and consultation with local/ indigenous communities prior to the beginning of development at a particular area
FFVP Fire Free Village Programme
FFA Fire Free Alliance
Grievance mechanism Grievance mechanism introduced in August 2016 which addresses any type of stakeholder or community issue except land disputes, for which there is a separate, defined procedure, and where government input or official process is often required.
GJ Gigajoule A unit of energy equal to one billion joules.
GHG Greenhouse gas. Gases such as carbon dioxide, nitrous oxide and methane that absorb and re-emit thermal radiation (heat).
GRI Global Reporting Initiative
Hectare (Ha) Metric unit of area that is equivalent to 10,000 square metres or 2.417 acres
HCS High Carbon Stock assessment
HCV / HCVF High Conservation Value Forest assessment that comprises six HCV values: HCV 1 Species diversity, HCV 2 Landscape-level ecosystems and mosaics, HCV 3 Ecosystems and habitats, HCV 4 Ecosystem services, HCV 5 Community needs, HCV 6 Cultural values
ISO The International Organisation for Standardisation is a worldwide federation of national standards bodies, representing more than 140 countries. ISO is a non- governmental organisation established in 1947, to promote the development of standardisation and related activities globally.
IUCN The International Union for Conservation of Nature, is the world’s oldest and largest global environmental network – a democratic membership union with more than 1,000 government and NGO member organisations, and almost 11,000 volunteer scientists in more than 160 countries. The organisation helps the world find pragmatic solutions to our most pressing environment and development challenges. It supports scientific research, manages field projects all over the world and brings governments, non-government organisations, United Nations agencies, companies and local communities together to develop and implement policy, laws and best practice.
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Pulp Cellulose fibres used in the production of paper, tissue and board. Can be derived from hard-woods, softwoods and plant fibres.
Petajoule A unit of energy equal to 1015 joules.
Peatland Areas of land with naturally formed layers of peat. Peat is dead organic (vegetative) material that has accumulated over thousands of years due to a combination of permanent water saturation, low oxygen levels and high acidity. Peat consists of 90% water and 10% plant material. Peatlands vary widely because of regional and local differences in soils, topography, climate, hydrology, water chemistry, vegetation, and other factors, including human disturbance. Peatlands are found from the tundra to the tropics and on every continent except Antarctica.
RKU Rencana Kerja Usaha or General Working Plan, is a 10-year workplan document that includes information on working location, spatial planning and area management, production sustainability, environmental protection and social condition. This document is submitted by concession license holders to the Ministry of Environment and Forestry.
RKT Rencana Kerja Tahunan or Annual Work Plan, is a document that details the activities as stated in the RKU document.
Riparian Relating to the immediate surrounding area of a natural watercourse. This includes vegetation as well as the soil.
Road built Road built by APRIL for community’s use
SDGs The United Nations Sustainable Development Golas are a universal set of goals, targets and indicators that UN member states are expected to use to frame their agenda and over the next 15 years to end all forms of poverty, fight inequalities and tackle climate change, while ensuring that no one is left behind.
SOX Sulphur oxides such as sulphur monoxide, sulphur dioxide and sulphur trioxide (SO, SO2, SO3).
SFMP 2.0 Sustainable Forest Management Policy 2.0
Social infrastructure projects • Completed
• Materials provided
Social infrastructure projects: The building of schools, community halls, roads, bridges, education and health support, religious and sports facilities.
Completed: Social infrastructure projects completed within the reporting period.
Materials provided: Provision of materials for social infrastructure projects.
SMEs Small and Medium Enterprises; companies or individuals with business revenue of less than Rp500 million per month with formal, clearly defined agreement to supply goods and/or services to APRIL
SMK3 Sistim Manajemen Keselamatan dan Kesehatan Kerja or Health and Safety management system, as set out in Indonesia's Ministry of Manpower Regulation 50/2012
TSS Total Suspended Solids, measure of the level of solids in waste water to determine quality
TRS Total Reduced Sulphur are compounds released from both natural and industrial sources that produce offensive odors, but not normally considered a health hazard.
UNGC United Nations Global Compact, one of the largest voluntary corporate citizenship initiatives, consists of 10 principles covering human rights, fair labour, environmental protection and anti-corruption. Established in July 2000, it seeks to promote responsible corporate citizenship by providing a framework for businesses to follow in response to the challenges of globalisation.
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There are no mandatory requirements for the preparation, publication or review of sustainability performance metrics. As such, APRIL applies its own internal reporting guidelines and definitions for sustainability reporting. These can be found in the Glossary section of their Sustainability Report.
Management’s responsibilitiesManagement is responsible for the preparation and presentation of the Selected Indicators in accordance with APRIL’s internal reporting guidelines and definitions for sustainability reporting, current as at the date of our report. Management is also responsible for determining APRIL’s objectives in respect of sustainability performance and reporting, including the identification of stakeholders and material issues, and for establishing and maintaining appropriate performance management and internal control systems from which the reported performance information is derived.
Our responsibilityOur responsibility in relation to the Selected Indicators is to perform a limited assurance engagement and to express a conclusion based on the work performed. We conducted our engagement in accordance with International Standard on Assurance Engagements (‘ISAE’) 3000 (Revised) Assurance Engagements other than Audits or Reviews of Historical Financial Information and ISAE 3410 Assurance Engagements on Greenhouse Gas Statements, issued by the International Auditing and Assurance Standards Board. ISAE 3000 and ISAE 3410 require that we comply with applicable professional standards, including International Standard on Quality Control 1.
We have not been engaged in respect of, and our conclusion does not cover, any periods prior to the period from January 1, 2015 to December 31, 2016.
Assurance approachWe planned and performed our work to obtain all of the evidence, information and explanations we considered necessary in order to form our conclusion as set out below. A limited assurance engagement consists of making inquiries, primarily of persons responsible for the preparation of the Selected Indicators, and applying analytical and other evidence gathering procedures, as appropriate. Our procedures included: • Inquiries of management to gain an understanding of APRIL’s processes for determining the material issues for
APRIL’s key stakeholder groups; • Inquiries with relevant staff at the corporate and concession level as well as fibre suppliers to understand the data
collection and reporting processes for the Selected Indicators, • Where relevant, performing walkthroughs to evaluate the design of internal controls relating to data collection and
reporting of the Selected Indicators; • Comparing the reported data for the Selected Indicators to underlying data sources on a sample basis, including
comparison of site conditions at the concession level to reported data for a sub-sample of the data;• Performing site visits to a sample forestry operations, including APRIL’s own concessions and those of its suppliers;• Inquiries regarding key assumptions and the re-performance of calculations on a sample basis; and,• Reviewing the Selected Indicators presented in the Report to determine whether they are consistent with our overall
knowledge of, and experience with, the sustainability performance of APRIL.The extent of evidence gathering procedures performed in a limited assurance engagement is less than that for a reasonable assurance engagement, and therefore a lower level of assurance is obtained.
Independent Limited Assurance Report
To the management of APRIL Group:We have been engaged by the management of APRIL Group (‘APRIL’) to undertake a limited assurance engagement in respect of the period from January 1, 2015 to December 31, 2016, on certain quantitative performance information disclosed in the Sustainability Report (the ‘Report’) as described below.
Selected Indicators and Applicable Criteria The scope for which limited assurance is to be expressed, as agreed with management, includes the following performance information (the ‘Selected Indicators’):
Performance Indicators for Assurance
Sustainable forest management Community development
• Hectares of new development (#)• Hectares of conservation and restoration area and
change from prior period (#)• Ratio of conservation area to total plantation area (%)• Percentage of fibre covered by legality certification (%)
• Total amount spent on social infrastructure projects (USD)
• Kilometers of road build for public use (KM)• Number of social infrastructure projects completed (#)• Number of social infrastructure projects for which
materials were provided (#)• Number of multi stakeholder forums (#)• Farmers trained to cultivate farmland (#)• Farmer groups supported with agricultural materials (#)• Number of small and medium enterprises contracted by
APRIL (#)
Fire management People
• Number of instances of fires on concessions by cause (#) • Fatalities (#)• Percentage of operations covered by occupational
health & safety certification (%)
Grievances and disputes Pulp and paper mill operations
• Hectares and percentage of new operations (concessions and blocks) with formal agreements in place with indigenous peoples and rural communities (# and %)
• Ha of APRIL and supplier concessions currently inactive due to unresolved conflicts (#)
• Percentage of grievances addressed within 10 days (%)
• Energy consumption (TJ)• Mill tonnes of greenhouse gas (GHG) emissions / tonne
of pulp (tCO2e / t)• Mill tonnes of GHG emissions / tonne of paper produced
(tCO2e / t)• Scope 1 GHG emissions (tCO2e)
The Selected Indicators, contained within the Report, have been determined by management on the basis of APRIL’s assessment of the material issues contributing to APRIL’s sustainability performance and most relevant to their stakeholders.
Independent Limited Assurance Report
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Our assurance report is provided solely to APRIL in accordance with the terms of our engagement. Our work has been undertaken so that we might report to APRIL on those matters we have been engaged to report upon in this assurance report, and for no other purpose. We do not accept or assume responsibility to anyone other than APRIL for our work, for this assurance report, or for the conclusion we have reached.
Independence and competenceIn conducting our engagement, we have complied with the independence and other ethical requirements of the Code of Ethics for Professional Accountants issued by the International Ethics Standards Board for Accountants. The engagement was conducted by a multidisciplinary team which included professionals with suitable skills and experience in both assurance and in the applicable subject matter including environmental, social, and governance aspects.
Our conclusionBased on the procedures performed, as described above, nothing has come to our attention that causes us to believe that for the period from January 1, 2015 to December 31, 2016, the quantitative performance information for the Selected Indicators, as described above and disclosed in the Sustainability Report, have not been prepared and presented, in all material respects, in accordance with the APRIL Group’s internal reporting guidelines and definitions for sustainability reporting, current as at the date of our report.
Emphasis of matterWithout qualifying our opinion above, we draw attention to the following:As noted on page 22 and page 36 of APRIL’s Sustainability Report, in 2017 APRIL and its supply partners have updated their land conflict data to more accurately reflect existing land disputes and encroachment. Between January 1 and June 30, 2017, 18,055 hectares of land disputes, of which 13,182 are on conservation land, were entered into APRIL’s land management system resulting in the following impacts on two of the selected performance indicators: • An increase in the total number of “Hectares of APRIL and supply partner concessions currently inactive due to
unresolved conflicts” to 104,009 hectares• A decrease in the “Ratio of conservation area to total plantation area” to 80% from 83%As it is not possible to determine the date of the origination of these land disputes, APRIL will include them in the calculation of the selected indicators on a go-forward basis.
Chartered Professional Accountants, Licensed Public Accountants
November 3, 2017Vancouver, Canada
Independent Limited Assurance Report
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